Trending Now - Anthropic Addresses Claude Code's Decline Due to Engineering Errors

WHO:

XDA - Anthropic, an AI lab valued at $380 billion.

Fortune - Users of Claude Code, including solo developers and enterprise engineering teams.

WHAT:

XDA - Anthropic published a blog post detailing three areas where Claude Code's performance degraded.

XDA - Claude Code's default reasoning effort was reduced from "high" to "medium" on March 4th, causing delays.

XDA - A bug caused Claude Code to forget previous reasoning after every turn, fixed on April 10th.

XDA - A system prompt to reduce verbosity was added on April 16th, which hurt coding quality, fixed on April 20th.

Fortune - Anthropic acknowledged engineering missteps behind the decline in Claude Code's performance.

Fortune - Anthropic's annualized recurring revenue run rate reached $30 billion, more than triple its figure at the end of 2025.

Fortune - Anthropic reset usage limits for all subscribers on April 23rd.

WHERE:

Fortune - Anthropic's operations are affected by computing resource constraints across the industry.

WHEN:

XDA - The performance issues began on March 4th, 2026.

XDA - The first fix was implemented on April 7th, 2026.

XDA - The second fix was implemented on April 10th, 2026.

XDA - The third fix was implemented on April 20th, 2026.

Fortune - Anthropic's blog post acknowledging the issues was published on April 20th, 2026.

Fortune - The reset of usage limits occurred on April 23rd, 2026.

WHY:

Fortune - Anthropic stated that demand for Claude has grown at an unprecedented rate, stretching their infrastructure.

Fortune - The company faced backlash from users who felt they were being gaslit regarding performance issues.

HOW:

Fortune - Anthropic is expanding its partnership with Amazon and Google to increase computing capacity.

Fortune - The company communicated changes through a public changelog and acknowledged specific technical causes in their postmortem.

(UPDATED April 25, 2026 11:12 UTC)

Anthropic, an AI lab valued at $380 billion, has acknowledged recent performance issues with its Claude Code, which began March 4th, and were attributed to engineering missteps and unprecedented demand that strained their infrastructure. The company published a blog post detailing these issues on Monday, noting that fixes were implemented throughout the month, including a reset of usage limits on Thursday. To address these challenges, Anthropic is expanding its partnership with Amazon and Google to boost computing capacity while keeping users informed through a public changelog.